Small Business Technology Spending

By Randall Orser | Small Business

Technology in the hand of businessmen TNSmall business owners can find many ways to spend their capital on the latest business software applications. These solutions are designed to automate a small business so it can become more efficient and achieve other business priorities. To grow your business, you must invest in software solutions. Consider these four reasons for improving your small business capacity through business technology acquisitions:

  1. You can stop assuming you know what technology solutions work best for your company. As a small business owner, you need good advice from IT experts. Sometimes you have to follow an IT expert’s recommendation to invest in technology upgrades, especially if your servers and software solutions are obsolete.
  1. You can prioritize technology spending along with other types of non-recurring expenses in the company budget. If you don’t prioritize tech spending, you can hold your company back from increasing its capacity in important areas like marketing. You might neglect certain segments of the market, such as customers who do business on their mobile devices. Other businesses come along with better tech solutions and provide the capacity consumers want. You lose your market share.
  1. You don’t want to miss opportunities to acquire IT technologies with a quick return on investment. Your competitors might risk more capital after studying the potential ROI of each business solution. They develop business plans around a timeline for recovering their investment. When you don’t invest in tech, other companies surpass you in business intelligence. Their ROI includes employees with access to better technologies. These employees make better decisions, which leads to higher overall performance.
  1. You should be realistic about how your revenue streams change over time. If you aren’t bringing in the revenue you projected a few years ago or even last quarter, that’s okay. Technology spending is part of your business plan, and you scale it down in proportion to your drop in revenue. Study available technology solutions. Pick a solution that will help you increase your revenue streams in time to change the downward trend.

There may be an upswing in the economy that enables you to increase tech spending; waiting for the upswing for big purchases will hurt your market position. Remember that business technology automates important functions in a small company, enabling employees to make good decisions and to focus more on innovation.

If you aren’t sure how to build your business intelligence through technology purchases, hire the services of an IT consulting firm specializing in small business clients. Get the best tools for your business!

About the Author

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